International Monetary Fund The International Monetary Fund (IMF) is an organization that supervises the global financial system. The purpose of the IMF is to supply short term financial aid to its members, stabilizing exchange rates and reconstructing the world’s international payment system.
History
Created in July of 1944, the International Monetary Fund was formally organized on December 27, 1945, with 29 countries signing the Articles of Agreement. In 1952, when the IMF was left independent, its strength was at an all time low. This left the IMF incapable to cover all the costs that the UN was able to.
IMF in the Media
Life and Debt is a documentary covering the influence of the IMF’s policies on Jamaica and its economy. The International Monetary Fund agreed to give aid to Jamaica for a short amount of time, with full interest. The proposal for long term aid was refused because it was “Jamaica’s problem”. The IMF’s policy for giving aid is if the loan is not paid back by the end of the term (in this case short term), another loan is taken out to pay back the previous debt, forcing countries into further and further debt. In the case of Jamaica, the debt was increasing at a steadfast rate (from 5 billion, to 7 billon, etc.).
Upon the suggestion of the IMF, Jamaica had the intention of exporting more, and importing less. Unfortunately this plan was halted because Jamaica needed too many imports and couldn’t export enough.Most of which, food is imported from the U.S.A. Due to the high costs of local grown food, Jamaicans are forced to buy at local supermarkets, which sell foreign imports. This permits the local farmers to earn little money. Also, with such high inflation rates, the government (who receives money from the IMF) is not allowed to lend money to the farmers. Since the Jamaican government will not give money to their own people, farmers make deals with the U.S.A. and send produce to the U.S.A. But the U.S. companies send the produce back, saying it did not meet standards, wasting the farmers’ time and money. Banana farmers in particular are dealing with poor export. The want for bananas are low, since the World Trade Organization is ruling.
A Caribbean development plan that is a free zone where workers assemble U.S. clothing and ship back is creating jobs for the poor. Since the free zone is technically not part of Jamaica, the Jamaican laws and systems used do not apply. This development is moving to Jamaica because they are closing and want to move to a location that is both inexpensive and has better labour.
International Monetary Fund
The International Monetary Fund (IMF) is an organization that supervises the global financial system. The
History
Created in July of 1944, the International Monetary Fund was formally organized on December 27, 1945, with 29 countries signing the Articles of Agreement. In 1952, when the IMF was left independent, its strength was at an all time low. This left the IMF incapable to cover all the costs that the UN was able to.
IMF in the MediaLife and Debt is a documentary covering the influence of the IMF’s policies on Jamaica and its economy. The International Monetary Fund agreed to give aid to Jamaica for a short amount of time, with full interest. The proposal for long term aid was refused because it was “Jamaica’s problem”. The IMF’s policy for giving aid is if the loan is not paid back by the end of the term (in this case short term), another loan is taken out to pay back the previous debt, forcing countries into further and further debt. In the case of Jamaica, the debt was increasing at a steadfast rate (from 5 billion, to 7 billon, etc.).
Upon the suggestion of the IMF, Jamaica had the intention of exporting more, and importing less. Unfortunately this plan was halted because Jamaica needed too many imports and couldn’t export enough. Most of which, food is imported from the U.S.A. Due to the high costs of local grown food, Jamaicans are forced to buy at local supermarkets, which sell foreign imports. This permits the local farmers to earn little money. Also, with such high inflation rates, the government (who receives money from the IMF) is not allowed to lend money to the farmers. Since the Jamaican government will not give money to their own people, farmers make deals with the U.S.A. and send produce to the U.S.A. But the U.S. companies send the produce back, saying it did not meet standards, wasting the farmers’ time and money. Banana farmers in particular are dealing with poor export. The want for bananas are low, since the World Trade Organization is ruling.
A Caribbean development plan that is a free zone where workers assemble U.S. clothing and ship back is creating jobs for the poor. Since the free zone is technically not part of Jamaica, the Jamaican laws and systems used do not apply. This development is moving to Jamaica because they are closing and want to move to a location that is both inexpensive and has better labour.